When investors will seek alternative investments providing such higher returns, but lower risk, their demand for equity and other more risky assets might decrease. This would accordingly reduce the liquidity levels of equity markets linked to IPOs or secondary offerings, thereby reducing deal-making activities.When investors will seek alternative investments providing such higher returns, but lower risk, their demand for equity and other more risky assets might decrease. This would accordingly reduce the liquidity levels of equity markets linked to IPOs or secondary offerings, thereby reducing deal-making activities.